Japan to discuss all items at Pacific trade talks

TOKYO (Reuters): Japan has told the United States it will put all items including politically sensitive rice on the table when it fully joins negotiations on a U.S.-led regional free trade pact, Japanese media reported on Wednesday.

In the first formal consultations between the two countries on Japan’s bid to join the Trans-Pacific Partnership (TPP), the United States presented opinions from the automobile, insurance and agricultural sectors, media reported.

The talks were in Washington on Tuesday.

Nine countries -- Australia, Brunei, Chile, Malaysia, New Zealand, Peru, Singapore, the United States and Vietnam -- are setting up the TPP to promote free trade and members are working out the details of their pact.

Takeshi Yagi, director general for economic affairs at Japan’s foreign ministry, who led the delegation to Washington, said the two sides discussed various issues but he declined to give details before briefing legislators and cabinet members, according to Kyodo news agency.

Working level government officials from the two countries will hold more talks on Feb. 21 and 22.

Japan held talks with Vietnam, Brunei, Peru and Chile in January and all four of them support Japan’s joining the negotiations.

Japan will send delegations to Singapore and Malaysia this week, Australia on Feb. 21 and New Zealand on Feb. 23 for consultations on the pact.

Prime Minister Yoshihiko Noda declared last November Japan’s interest in joining the TPP in order to tap into the region’s strong growth to revive Japan’s economy.

Japanese auto and electronics makers hope the TPP, which would in principle eliminate all tariffs among members, would allow them to better compete with rival South Korea.



But Japanese farmers worry that it could damage their sector which has been protected by high tariffs, notably on imported rice.



Farmers say joining the pact would hurt those farmers who are still reeling from an earthquake, tsunami and nuclear accident last March.